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Oilheat Keeps Economic Advantage Over Gas Heat for 2003-2004 Winter

Consumers using heating oil in Massachusetts this winter should once again pay less than homes using gas heat based on the residential gas heat rates approved by the Department of Telecommunications & Energy on November 1, 2003. These rates will hold through April 2004, and could possibly go higher if supplies of natural gas are taxed due to a cold winter.

Oilheat's Economic Advantage Expected to Hold

Each winter, the DOER conducts a weekly survey of full-service heating oil dealers to determine the statewide average price for a gallon of heating oil. Although the 2003-2004 numbers have yet to be determined, last year's figures are quite telling. Over a twenty-four week period beginning on October 7, 2002 and ending on March 18, 2003, the statewide average price for a gallon of heating oil is $1.44. Using that number as a benchmark, back in January, gas heat customers on average were paying 16 cents more per gallon than heating oil customers for 200 therms of gas when the two fuels are compared on a Btu-to-Btu basis. When compared with the March 1, 2003 gas rate increases, gas heat customers on average are paying a whopping 42 cents more per gallon than heating oil customers for 200 therms of usage.

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Vince Kotlarz - President, MA Licensed Home Inspector, performing home inspection services in Massachusetts (MA), New Hampshire (NH), and Rhode Island (RI).